Economic cooperation

13.11.2017 09:49 935

Kazakhstan and Russia are expanding cooperation in trade and economy. The countries intend to increase the volume of mutual trade at the regional level. According to assessments of experts, the bilateral trade turnover at the border of the two countries, including 12 Russian subjects and 7 Kazakh regions, amounted to more than 40% of the total turnover. Tatarstan, Sverdlovsk, Chelyabinsk and Orenburg regions are the most active participants of the trade relations. Each of these regions’ trade turnovers with Kazakhstan estimated at over US$1 billion.In general, 76 Russian regions have established direct partnership relations with all the 14 regions of Kazakhstan. More than 11, 000 joint ventures have been created. One of the most ambitious projects is full-cycle automobile production in the Oskemen region. The plant construction with a capacity of 120,000 vehicles has started in 2013. The plant will be launched next year. Business partners plan to reach a market of 84 million people and this goes beyond Russia and Kazakhstan. Central Asian countries will take part in the market, too. The Eurasian Economic Union will benefit from this partnership of the neighboring regions.

DMITRY ZHURAVLEV, HEAD, INSTITUTE FOR REGIONAL STUDIES IN MOSCOW:

- Today, economy is becomingthe economy of knowledge. The simplest illustration is the fact that the 4/5 costs of the economy are investedin scientific and technological developments while only 1/5 is spent into production.

Kazakhstan and Russia are focusing on IT which is not accidental. Human capital and development are connected with robotics, biotechnology and innovations. One of the main goals in expanding the partnership is based on the border regions of Kazakhstan and Russia.